IMF Board Approves $1 Billion Payout to Pakistan

The International Monetary Fund (IMF) has approved the disbursement of approximately $1 billion to Pakistan, following the successful completion of the first review of the country’s economic reform program under the Extended Fund Facility (EFF)

This latest tranche brings total disbursements under the arrangement to $2.1 billion, reinforcing Pakistan’s ongoing efforts to stabilize its economy and rebuild investor confidence The IMF also approved Pakistan’s request for an arrangement under the Resilience and Sustainability Facility (RSF), granting access to an additional $1.4 billion to support climate resilience and economic sustainability.

Pakistan’s 37-month EFF program, initiated in September 2024, aims to strengthen macroeconomic stability, broaden the tax base, and enhance competitiveness The IMF highlighted Pakistan’s strong fiscal performance, noting a primary surplus of 2% of GDP in the first half of FY25, keeping the country on track to meet its end-FY25 target of 2.1% of GDP.

Additionally, inflation has dropped to a historic low of 0.3% in April, allowing the State Bank of Pakistan to cut the policy rate by 1100 basis points since June 2025Gross reserves have also improved, reaching $10.3 billion at the end of April, with projections indicating further growth to $13.9 billion by June 2025.

IMF Board approved the first review of Pakistan’s economic reform program under the EFF, enabling a disbursement of ~ $1 billion, reflecting strong program implementation which has contributed to continuing economic recovery. https://t.co/7qqa7ZTBHA pic.twitter.com/EEyiLgcSvq

— IMF (@IMFNews) May 9, 2025